
It's no secret that many Australians are facing tough times right now. Rising living costs, hefty rent or mortgage commitments, and everyday expenses can accumulate quickly, making you feel like you're constantly treading water to stay afloat. If you're struggling to make ends meet, you're not alone – and there are steps you can take today to alleviate the pressure. Here are our realistic and actionable tips to help you regain control of your finances, allowing you to breathe a little easier.
1. Know where your money's going
You can't fix what you don't know. Start by tracking your income and expenses – and this means every dollar. Apps like Frollo, PocketSmith, Moneysmart's budget planner, or even a simple spreadsheet can help you see where your money is going each week.
Once you've got visibility, categorise your spending into essentials (such as rent, groceries, and utilities) and non-essentials (takeout food, subscriptions, and impulse buys). You'll be surprised at how small costs add up—and more importantly, where you might be able to trim back.
2. Prioritise your essentials
When money is tight, your focus should be on covering the essentials: food, housing, healthcare, and necessary bills. Create a priority list and budget around these core items first. If faced with a choice between paying for that Netflix subscription or the electricity bill, the answer is rather obvious.
However, if you're falling behind on your bills, be sure to contact your provider promptly. Most companies have hardship programs or payment plans and would prefer to help you rather than pursue overdue accounts. The key is communication and commitment (do what you say you will).
3. Shop smarter and spend strategically
Everyday expenses offer some of the easiest wins. Some of our top tips include:
4. Cut or pause non-essential subscriptions
Streaming services, gym memberships, and subscription boxes – all of these often go unnoticed but can cost you significantly over a year. If you're not using something frequently, consider cancelling or pausing it until circumstances improve. Even if you cut just one or two services, you could free up around $30 or more each month, saving you $360 each year.
5. Maximise any support you're entitled to
The Australian Government provides a range of payments and support services. Some of the support you may be eligible for includes:
Visit the websites above, Services Australia or your state government website, for the latest information.
6. Create a side hustle
If you have time or a hobby, there are numerous ways to earn extra money, including:
Every little bit helps, and sometimes even a small side income can make a significant difference.
7. Consolidate your debts
Debt consolidation can be a smart strategy if you are managing multiple loans, credit cards, or buy-now-pay-later accounts. By combining various debts into a single loan, you can simplify your finances and reduce the number of repayments you need to manage to just one. This not only helps in improving your financial management but can also lower your overall repayment amount, freeing up cash flow for other essentials.
Another key benefit of debt consolidation is the potential to reduce the total amount paid over time. By consolidating your debts into a structured loan with a fixed term, you can pay off the debt more quickly. It also alleviates the stress of multiple due dates and fluctuating balances, making it easier to stay on track and avoid late fees or additional penalties.
8. Reach out for help
Financial stress can significantly impact your mental health. If you're feeling overwhelmed by debt, it's essential to seek help - be it from a trusted friend, a financial counsellor, or a support service. You're not failing; you're being human. Debt support services, such as Safe Debt Management, are there to help, not to judge. They can help you create a plan and provide strategies tailored to your specific situation. Their structured Pay-In-One program combines multiple debts into one manageable repayment, usually stopping interest and penalty fees, which may be precisely what you need to regain control of your debt and any overspending.
Final thoughts
Getting back on top of your finances won't happen overnight, but making small changes can add up. By being proactive and seeking support early, you can ease the pressure and start building a stronger foundation for the future. And most importantly, this is a tough period, not a life sentence. You can do this.
If you're in a financial bind and want to know more about debt consolidation, we're always here to help. Take a look at our personal loans of up to $5,000 to discover how quickly and easily you can borrow money to pay off your debts and consolidate them into one regular repayment amount. Once a loan is approved, the cash is usually in your bank account within a few hours, so you could consolidate those debts this week.